7–9 Proprietary Fund Financial Statements. Von County has prepared the following statement of revenues, expenses, and changes in fund net assets for its proprietary funds. The county has three enterprise funds and two internal service funds.

VON COUNTY

Statement of Revenues, Expenses, and Changes in Fund Net Assets

Proprietary Funds

for the Year Ended December 31, 2011

(amounts expressed in thousands)

 

Total

Enterprise

Funds

 

 

Total

Internal

Service

Funds

Total

Revenues

 

 

 

Charges for services

$ 61,309

$10,621

$ 71,930

Investment income

1,086

59

1,145

Total Revenues

62,395

10,680

73,075

Expenses

 

 

 

Personnel services

24,196

5,681

29,877

Supplies and materials

11,540

3,293

14,833

Interest expense

6,904

172

7,076

Depreciation

11,213

2,076

13,289

Loss on disposal of capital assets

14

 

14

Interfund Transfer out

186

0

186

Total Expenses

54,053

11,222

65,275

 

 

 

Change in net assets

8,342

(542)

7,800

Special item—Loss on Sale

(3,794)

 

(3,794)

Net assets—January 1, 2011

288,611

3,337

291,948

Net assets—December 31, 2011

$293,159

$ 2,795

$295,954

Required

The statement as presented is not in accordance with GASB standards. Identify the errors and explain how the errors should be corrected in order to conform with GASB standards. Along with the information in Chapter 7, Illustration A1 8 will be helpful in identifying and correcting the errors.